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Contact: Bill Chamberlin, HorizonWatching Community Leader

January 2014

Internet of Things:
Trends To Watch In 2014
A HorizonWatching Community Trend Report (Summary Version)

HorizonWatching Community

About This Deliverable


Purpose: The slides provide information about the Internet of Things trend in 2014
This is a Summary Version of this Trend Report.
This file can be downloaded at http://www.slideshare.net/horizonwatching
A more detailed Powerpoint version of this deck is located at
http://www.billchamberlin.com/reports-books/. The 37 page report has more
information and resources for you, including a list of over 100 trend and
prediction articles for 2014.
Content: Summary information about this emerging trend is provided along with
many links to additional resources, including a list of over 100 trends and prediction
articles about this trend. The slides are meant to be read/studied and the links are
there for you to continue your learning. You may want to view the slides in slideshow
mode so you can easily follow the links
For more information on Emerging Technology Trends, see the
HorizonWatching blog

Note: This presentation represents my own personal thoughts and ideas.not those of my employer.
- Bill Chamberlin, http://www.billchamberlin.com/
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Table of Contents
1. Trends to Watch in 2014
2. What Others Are Saying About Internet of Things for 2014
3. Additional Resources

Jan 2014

Internet of Things: A 2014 HorizonWatching Trend Report (Detail)

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Table of Contents
1. Trends to Watch in 2014
2. What Others Are Saying About Internet of Things for 2014
3. Additional Resources

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Internet of Things: A 2014 HorizonWatching Trend Report (Detail)

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Internet of Things Trends to Watch in 2014


1. From Hype to Reality: In 2014 IoT will become
real with the ubiquity of connectivity and proliferation
of devices, and wearable computing. Automakers
lead the way by embedding smart systems in cars.

Koby's predictions for the Internet of Things


in 2014 and beyond James Kobielus

2. Wireless Sensors and Devices: They are


getting smaller, smarter, and cheaper.and there
are billions of them.producing billions of data
points.

3. Machine to Machine (M2M): Sensors and


devices talking to each other and data centers via
wireless communications.

Where is the Internet of Things heading in


2014? CIO.com

4. IOT Apps: New apps required to integrate sensor


based data into business applications

5. Industry Partnerships: Traditional IT vendors


accelerate their partnerships with global telecom
service providers and semiconductor vendors.

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Internet of Things Trends to Watch in 2014 (cont.)


6. Big Data to get Bigger: These things
(sensors, chips, computers) will produce even
more data than we have now, taxing our already
complex enterprise Information Management
systems.

Access more 2014 Internet of


Things trend articles, blog
posts and related information
via the Horizonwatching Blog

7. Clouds Required: Aggregating all this big


data and acting on its findings will best be
achieved by capturing, analyzing and
responding from the cloud.

8. IoT Analytics: Advanced analytics and


dashboards will be needed to provide insights
from all the things.

The Economist: The Internet of Things


business index

9. New Business Processes Required: IoT


enables new automated sense and respond
systems, disrupting traditional processes.

10. CIOs Need to Prepare: CIO Leaders and


Innovators will begin strategizing how to best
make use of IoT for their organizations.

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Internet of Things Trends to Watch in 2014 (cont.)


The Internet of Things An IBM Video
11. Education Needed: Increased demand for
education and skills training related to Sensor
Networks, how to implement them and what to do
with the data collected.

12. Product Design: Consumers and Customers will


increasingly expect products to come with embedded
sensors.
13. Wearables: In 2014, the consumer buzz will be
around wearable devices, including glasses, watches,
and health/fitness monitors. Enterprises will
integrated wearables into future strategies
14. Security & Privacy: These two issues are big
components of any IoT strategy and must be
considered for the devices, the connections, and the
cloud.

Internet-of-Things (IoT)
provides the foundational
infrastructure for a smarter
planet, and offers significant
growth opportunities in IT,
infrastructures and services
IBM (link)

15. IPv6 Required: Transition from IPv4 will continue in


2014. IoT will not fully become a reality until the
things have full access to IPv6.
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Table of Contents
1. Trends to Watch in 2014
2. What Others Are Saying About Internet of Things for 2014
3. Additional Resources

Jan 2014

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Billions of devices, sensors, and chips that are able to communicate


via the Internet makes up The Internet of Things
The Internet of Things refers to uniquely identifiable
objects (things) and their virtual representations in an
Internet-like structure. Wikipedia (link)
The Internet of Things is the network of physical objects
that contain embedded technology to communicate and
sense or interact with their internal states or the external
environment. Gartner (link)

The Internet of Things (IoT) represents a new construct in the information and
communications technology (ICT) world that is occupying the minds of IT vendors, service
providers, and systems integrators as it represents huge potential for new streams of
revenue and new customers. IDC (link)
The Internet of Things represents an evolution in which objects are capable of interacting
with other objects. Hospitals can monitor and regulate pacemakers long distance, factories
can automatically address production line issues and hotels can adjust temperature and
lighting according to a guest's preferences, to name just a few examples. IBM (link)
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Forecasts call for billions and billions of connected devices


In 2020, Over 30 Billion Connected
Devices Will Be In Use. Gartner (link)

Business Insider Intelligence: Global Internet


Device Installed Base Forecast

Driven by reducing price per


connection and the consequent rapid
growth in the number of machine-tomachine (M2M) connections, we
expect the number of connected
objects to reach 50bn by 2020 (2.7% of
things in the world). Cisco (link)
There will be 212 B devices or things
connected to networks by 2020 - IDC
(link)

There are more than 10 billion wirelessly


connected devices in the market today; with
over 30 billion devices expected by 2020..
ABI Research (link)

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From vehicles and smart phones to


containers and machines by 2015
more than six billion things will be
connected to the internet. Bosch (link)
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The economic value of the IoT economy is expected to be large.


Service Revenues for the IoT will reach $500 Billion
by 2018, dwarfing the $33 Billion in revenue expected
from devices in 2018 - Harbor Research (link)
IoT product and service suppliers will generate
incremental revenue exceeding $300 billion, mostly in
services, in 2020. Gartner (link)

Bloomberg Article: Cisco CEO Pegs


Internet of Things as $19 Trillion Market

ZDNet Article: Internet of things: $8.9 trillion


market in 2020, 212 billion connected things

Sized applications of the Internet of Things could


have direct economic impact of $2.7 trillion to $6.2
trillion per year in 2025. McKinsey (link)

IoT technology and services spending to generate global revenues of $4.8 trillion in 2012
and $8.9 trillion by 2020, growing at a compound annual rate (CAGR) of 7.9%. IDC (link)
Economic value-add (which represents the aggregate benefits that businesses derive
through the sale and usage of IoT technology) is forecast to be $1.9 trillion across sectors in
2020. The verticals that are leading its adoption are manufacturing (15 percent), healthcare
(15 percent) and insurance (11 percent).. Gartner (link)
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The Internet of Things will require new approaches for CIOs and new
skills for IT professionals
The converging Nexus of Forces and the Internet of
Things are creating the digital industrial economy. In 2014,
CIOs must embrace and help lead this transformation.
Doing so will require novel approaches and radical new
thinking combined with unwavering attention to
operational performance. Gartner (link)
As it becomes easier and easier to design and develop
smart systems, competitive differentiation will shift away
from unique, vertically focused product features towards
how the product is actually used and how the product
fosters interactions between and among users in a
networked context. Harbor Research (link)

The Executive's Guide to the


Internet of Things
ZDNet e-book (registration required)

While CIOs recognize the importance of the right staff to enterprise success, they are
finding it increasingly difficult to find skilled talent in the locations they require, for a price
they can afford. - IDC (link)
Survey found that 51 percent of CIOs are concerned that the digital torrent is coming
faster than they can cope and 42 percent don't feel that they have the talent needed to
face this future. - IDC (link)
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Security will be an increasingly hot topic within the IoT trend


Proofpoint Uncovers Internet of Things (IoT) Cyberattack
Proofpoint Press Release

Video: Internet of Things - Privacy & Security in a


Connected World Workshop , by USA FTC , with Vint Cerf,
Google

The Internet of Things Is Wildly Insecure And Often


Unpatchable, Wired.com

As we become increasingly reliant on intelligent, interconnected devices in every


aspect of our lives, how do we protect potentially billions of them from intrusions and
interference that could compromise personal privacy or threaten public safety? Wind
River (link)

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There are many other related terms around the IoT Trend topic
Machine to Machine (M2M)
Machine to machine (M2M) refers to technologies
that allow both wireless and wired systems to
communicate with other devices of the same ability.
M2M uses a device (such as a sensor or meter) to
capture an event (such as temperature, inventory
level, etc.), which is relayed through a network
(wireless, wired or hybrid) to an application
software program), that translates the captured
event into meaningful information (for example,
items need to be restocked). Wikipedia (link)

The Web of Things


The Web of Things is a vision inspired
from the Internet of Things where
everyday devices and objects, i.e.
objects that contain an embedded
device or computer, are connected by
fully integrating them to the Web.
Examples of smart devices and objects
are wireless sensor networks, ambient
devices, household appliances, RFID
tagged objects, etc. Wikipedia (link)

Sensor
A sensor is a converter that measures a physical quantity and converts it into a signal which can be
read by an observer or by an (today mostly electronic) instrument. Wikipedia (link)
Wireless Sensor Network
A wireless sensor network (WSN) of spatially distributed autonomous sensors to monitor physical or
environmental conditions, such as temperature, sound, pressure, etc. and to cooperatively pass their
data through the network to a main location. The more modern networks are bi-directional, also
enabling control of sensor activity. Wikipedia (link)
Ubiquitous Computing
Ubiquitous computing (ubicomp) is a post-desktop model of human-computer interaction in which
information processing has been thoroughly integrated into everyday objects and activities.
Wikipedia (link)
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This vendor ecosystem Map from TechCrunch shows how crowded


this still emerging market is becoming
Source: Making Sense Of The Internet Of Things (link)

Source: Gartner

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This infographic from Beecham Research provides a sector-based


segmentation view of internet of things marketplace
Source: M2M/IoT Sector Map by Beecham Research

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Internet of Things: A 2014 HorizonWatching Trend Report (Detail)

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Table of Contents
1. Trends to Watch in 2014
2. What Others Are Saying About Internet of Things for 2014
3. Additional Resources

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Internet of Things: A 2014 HorizonWatching Trend Report (Detail)

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Internet of Things Selected IBM Resources and Links


Website: Internet of Things
Recent Press Releases: IBM and Libelium Launch Internet of
Things Starter Kit and Internet of Things Gets Major Distance
Boost From IBM and Semtech

IBM Video: Connecting to Customers


Using the Internet of Things,

Software: The Internet of Things / IBM MessageSight / IBM


Messaging / Websphere Sensor Events / Intelligent Operations
Center / Sample Sensor Solutions / Informix TimeSeries for
Meter Data Management
DeveloperWorks: Mobile Messaging and M2M articles and
Fabric for Sensor Network Management and Data Transfer
Redbook: IBM Intelligent Operations Center for Smarter Cities
and Building Smarter Planet Solutions with MQTT and IBM
WebSphere MQ Telemetry
Website: Smarter Planet
Healthcare Example: Connected Home Health
Energy Example: IBM Intelligent Utility Network Solution and
Smart metering and beyond
Video: The Internet of Things
Academy of Technology: Internet of Things
IBM Research: Mote Runner / Sensor Systems / Wireless
Communication for IoT / Wireless Network Cloud

If we can harvest the Big Data


insights from all of the things
connected to the Internet we can more
precisely understand how our world
actually works. By making Internet of
Things application development
easier, the answers to the grand
challenges of our age becomes more
feasible. - Thorsten Kramp, a computer
scientist at IBM Research (link)

White Paper: Driving innovation through the Internet of things


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Internet of Things Selected IBM venues on Social Media


Blog: asmarterplanet

Smarter Buildings A Smarter Planet Blog

Tumblr Blog: A Smarter Planet tag: Internet of


Things
DeveloperWorks Community: Fabric for Sensor
Network Management and Data Transfer and
Mobile and M2M
Developerworks Blog Search: Internet of Things
IBM Research Blog Post: Mobile data for the
Internet of Things

A Giant Step Forward for the Internet of


Things and Big Data A Smarter Planet Blog

Facebook: People for a Smarter Planet


Twitter: @SmarterPlanet
Pinterest: Building a Smarter Planet

Google+: Smarter Planet

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Access additional thought leadership on emerging tech trends


A more detailed version of this deck is located at http://www.billchamberlin.com/reportsbooks/. The powerpoint deck has 37 slides and many more resources for you, including a
list of over 100 trend and prediction articles related to the IoT trend for 2014.

Other HorizonWatching Content and Community Sites

Linkedin Profile = www.linkedin.com/in/whchamb/


Wordpress = Horizonwatching Thought Leadership Blog
Tumblr = HorizonWatching Quote Blog
Twitter = HorizonWatching 140 Character Blog
Slideshare = HorizonWatching - Slide Decks
Facebook = HorizonWatching Community Page
LinkedIn Group = HorizonWatching Community Group

Note: This presentation represents my thoughts and ideas.not those of my employer. Follow me
for more technology trend information on my public blog - HorizonWatching at
www.billchamberlin.com. Thanks, Bill Chamberlin
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Other HorizonWatching Trend Reports are available for download


Available for download at:

http://www.billchamberlin.com/reports-books/

Typically 20-30 pages (Powerpoint format).


For the current status of the availability of the reports, see Availability of HorizonWatching 2014
Trend Reports

Contents of the Detailed Trend Reports


1.
2.
3.
4.

21

Trends to Watch (Important developments to watch in 2014)


Trend Information (Market Opportunty, Growth Drivers, Adoption Challenges, Implications)
Quotes: What Analysts and the Media is saying about the trend
Lists of Websites and Resources
Analysts
Media
Note: A summary of each of the
detailed reports will also
Selected IT vendor and consultant websites and resources
available in pdf format via the
Top Trend and Prediction Articles
HorizonWatching account on
Social Media Sites & Searches
Slideshare at
Selected Online Influencers
http://www.slideshare.net/horizon
Selected white papers and other websites
watching
List of 2014 Trend and Prediction Articles

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